Financial-Cap: American Sportscasters Association

The American Sportscasters Association (ASA) was founded in by Dick London Former Harold in 1979 as a non-profit organization to provide guidance and inspiration to sportscasters by supporting the interests of professional sports broadcasters as well as those interested in becoming sportscasters. The organization is based in New York (P rins, 2014). The most renowned activities partaken by the ASA is through the ASA Hall of Fame Award and its annual Hall of Fame Dinners where the achievements of exceptional sportscasters are acknowledged. These honors include Sportscaster of the Year, Sports Legend, Sports Personality, Humanitarian Award and the International Sportscaster of the Year ( American Sportscasters Association, 2017) . 

ASA has a good online presence through their Facebook page website and blog where news about their activities and articles about sports news and sportscasters can be found. The Hall of Fame was officially opened in 1998 and had been located in the MCI National Sports Gallery in Washington D. C until it was closed in 2000 to make room for office space. ASA has since been looking for a new location to move its hall of fame and this is an important project because the Hall of Fame has traced the history of sports reporting since it began in the 1920s where fans can remember them ( American Sportscasters Association, 2017) . This financial plan is geared towards finding new space for the ASA hall of fame which will also host the ASA Academy of sportscasters to train new and existing news reporters on tips to use in their jobs and provide other support services for its members such as helping them to find new jobs or keep existing ones, support in case of personal tragedies.

The organization receives most of its finances from charity and grants and being that it is a non-profit has a small support staff that run day to day operations of the organization. The organization has an executive and an advisory board who get compensated for their services. Its expansion plan will also involve increasing staff to run new operations such as curating the display room as the new Hall of fame will include a gallery. Other new duties will include record keeping, cleaning and maintenance staff, receptionists and tour guides (Jane, 2011). With this expansion, the organization hopes to expand its influence to recognize sportscasters from other areas of the world and in sports categories that are not celebrated much in the United States such as soccer and cricket (Pedersen, Laucella, Kian, & Geurin, 2016). 

This financial overview of the American Sportscasters Association is derived from their balance sheet for the financial year 2016/2017 (Jane, 2011). Their current assets include $470, 560 in cash which is basically derived from membership fees, membership renewal fees, grants, donations and other savings that have accumulated over time. The accounts receivable has a total of $64,254 that is derived from the amount they receive from a percentage cut from the contracts of news reporters they help to place in jobs. Their inventories amount to $193,630 and includes the current headquarters location office space worth about $94, 520 and the rest includes a company vehicle and office equipment such as desks, computers, chairs, et cetera. Their assets therefore amount to $528 444.

Liabilities refer to what the company owes. Their accounts payable which include compensation for staff and members of the board, planning money for the annual Hall of Fame event, and office maintenance costs such as paying water and electricity bills amounts to a total of $174, 340. In others are miscellaneous expenses such as repairs, printing costs and other minor expenses which totals to $14,000. Since the organization does not offer too many services which their highlight event being the Hall of Fame dinner and a job placement option for veterans, it does not incur many liabilities (Jane, 2011).

The organization wants to buy an already built office building which has at least two floors with ample parking and a compound. The reason for this is that it does not want to share the office compound with any other organization. The company requires enough space to be able to host the Hall of Fame dinners in to cut the cost of hiring a venue each year. The location is preferably in a small town or suburban area as the cost of buying a building there will be less as compared to New York City and the serene environment will be perfect for the company’s activities. ASA prefers to buy rather than rent as to avoid the recurring cost of renting out a building and a repeat of what happened when they lost their last Hall of Fame gallery site. 

The cost of buying a two story office building is estimated at $125,500, renovations and installing new furniture and equipment will be approximately $15,000. The organization is also expected to hire new staff to run the bigger office and undertake new operations so this will raise the compensation cost with approximately $47,000 annually and maintaining the new building in terms of utilities will also increase by about $12,000 per annum. A miscellaneous amount of $15,000 is also set aside in case of any unexpected expenses. However, the new office space is expected to reduce costs such as that incurred when hiring grounds for annual events. Considering that the company has $ 470, 560 in cash in their accounts, this means that the expansion is possible as the total cost of the expansion amounts to $214, 500 (Jane, 2011).

APPENDIX A: American Sports Association Balance Sheet 2017

References

American Sportscasters Association. (2017). American Sportscasters Association-About Us. Retrieved from http://www.americansportscastersonline.com/aboutus.html

Jane, M. (2011). How to Create Financial Statements for a Non Profit Organization. Retrieved from http://smallbusiness.chron.com/create-financial-statements-non-profit-organization-22545.html

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Pedersen, P. M., Laucella, P., Kian, E,& Geurin, A. (2016). Strategic sports communication, 2E. Human Kinetics 2016.

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